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Updated 07/2014

Implicit Price Deflator

Contents

Implicit Price Deflator Index for Personal Consumption Expenditures -- Base Year 2009

Monthly Index and Cumulative Percentage Change
  2013 2014
Date 7/1 8/1 9/1 10/1 11/1 12/1 1/1 2/1 3/1 4/1 5/1 2nd QTR
Index 107.072 107.380 107.500 107.558 107.634 107.816 107.920 107.989 108.189 108.404 108.658 108.775
Cm.% 0.288 0.400 0.454 0.525 0.695 0.792 0.856 1.043 1.244 1.481 1.591
Proj. 3.452 2.398 1.816 1.575 1.688 1.584 1.468 1.565 1.659 1.777 1.735
12 Mo. 1.115 0.930 0.803 0.995 1.155 1.179 0.848 1.132 1.613 1.768 1.591

Source: Table B.2. Implicit Price Deflator for Personal Consumption Expenditures.

The top row represents the preliminary and revised implicit price deflator for personal consumption expenditures (IPD) published by the Bureau of Economic Analysis (BEA). The second row represents the cumulative percentage change in the preliminary or revised index from July of 2012. The third row represents the projections of the annual implicit price deflator since July of 2011 when using the methodology of dividing the cumulative percentage change since July by the number of months since July and then multiplying the dividend by 12 to obtain an annual estimate. The fourth row represents the actual percentage change of the implicit price deflator over the last 12 months.

Historical Increases in the July Implicit Price Deflator for Personal Consumption Expenditures

Dates Percent
July 1996 to July 19971.9*
July 1997 to July 19980.85
July 1998 to July 19991.42
July 1999 to July 20002.61
July 2000 to July 20011.89
July 2001 to July 20021.16
July 2002 to July 20031.84
July 2003 to July 20042.387
July 2004 to July 20052.541
July 2005 to July 20063.419
July 2006 to July 20072.084
July 2007 to July 20084.527
July 2008 to July 2009-0.848
July 2009 to July 20101.539
July 2010 to July 20112.755
July 2011 to July 20121.295
June 2012 to June 2013**1.314
June 2013 to June 2014**1.591

* The Bureau of Economic Analysis uses anywhere from one to three decimal places
** The rate of inflation is the percent change in the implicit price deflator for personal consumption expenditures published by the Bureau of Economic Analysis by September 25th of the year before the taxes are payable. The most recent publication available on September 25th was the August publication. The Washington State Department of Revenue has therefore established the use of the quarterly values to calculate the percentage change in IPD for taxes dues.

Source: Table B-1 of the Survey of Current Business for years 1997 - 2013 and NIPA Table 1.1.9 published by the Bureau of Economic Analysis for year 2014.

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